How to journalize? 1. Product sales totaled $3 million (all customers paid with cash), and my company had paid $2.2 million for that inventory sold.2.Inventory purchases totaled $1.5 million during the quarter, all on a credit basis, with my company's vendors. 2. My company repaid outstanding accounts payable during the quarter in the amount of $1.7 million. 3. Marketing costs of $10,000 were paid in February, all related to a series of President’s Day TV advertisements. 4. Wages, rents, and other administrative expenses totaled $373,000. All, except the March rent of $50,000, were paid with cash. The month of March rent payments, totaling $50,000 and due on or before March 15, haven't been paid as of March 31.
How to journalize?
1. Product sales totaled $3 million (all customers paid with cash), and my company had paid $2.2 million for that inventory sold.2.Inventory purchases totaled $1.5 million during the quarter, all on a credit basis, with my company's vendors.
2. My company repaid outstanding accounts payable during the quarter in the amount of $1.7 million.
3. Marketing costs of $10,000 were paid in February, all related to a series of President’s Day TV advertisements.
4. Wages, rents, and other administrative expenses totaled $373,000. All, except the March rent of $50,000, were paid with cash. The month of March rent payments, totaling $50,000 and due on or before March 15, haven't been paid as of March 31.
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
